Course Overview

Making future investment decisions requires concert understanding of the financial modeling process. Starting from input variable to model design and presentation, delegates work on building several financial models from scratch. This course will equip delegates with real-life tools and techniques allowing them to build customized financial models. Excel is the name of the game!

Course Methdology

This course demonstrates core principles in fundamental financial modeling and utilizes Excel in performing modern and creative techniques of financial modeling. Real-life case studies, individual workshops, and team presentations by participants.

Target Competencies

Financial Calculations

Corporate Valuation Models

Pro-Forma Financial Statements Modeling

Financial Analysis

Model Input, Process, Output

Data Modeling Tools

NOTE:
This course requires the use of laptops with Excel 2010/2013/2016 installed. On any courses conducted in the UAE, VIF will provide laptops to all delegates for the duration of the course. For courses outside the UAE, delegates must bring their own laptops with Windows-based Excel 2010+ fully installed.

Course Outline

Financial Calculations: Applications

Present value, Future Value, and Applications

Net Present Value (NPV)

Internal rate of return (IRR)

Flat Payment Schedule

Using XNPV and XIRR

Free Cash Flow Calculations

Data Tables

Financial Analysis Ratios and Metrics

Profit and loss versus balance sheet analysis

Comparable company analysis

Building block analysis

Vertical, trend, and horizontal analysis

Liquidity

Current, quick, and cash ratios

Asset management and activity

AR and AP Turnover

Cash conversion cycle

Asset turnover

Solvency, leverage and gearing

Debt, equity, and times interest earned ratios

Assessing profitability management

Profit margin, gross margin, return on assets, return on equity

Market and valuation

Price-earnings and earnings per share ratios

Modeling the DuPont identity

The three-step models

Modeling Tools and Techniques

Times-series modeling techniques

Common-base forecasting tools

Accounting-relation modeling tools

Model automation techniques

Dynamic chart titles

Data models and tables

Scenario analysis

Financial Statement Modeling

How financial models work

Modeling income statement

Modeling balance sheet

Using FCF to value the firm and its equity

Sensitivity analysis

Discounted cash flow analysis

Developing an integrated financial model

Model Construction Techniques

Data tables design

Assumptions and input variable rules

Check box data modeling

Spinner data modeling

List box data modeling

Option button data modeling

Acquiring and updating data from the text, access database, SQL, and the web